If you managed to save between $1,000 and $2,500 in your Initial Emergency Fund, congratulations! You have met a major milestone that most people will never attain. With this accomplishment, you are now ready to attack your debt. WayPoint 4 is called the “DebtWave”. In the Nautical world, wave energy can travel across the ocean for thousands of miles. Smaller waves are consumed by larger waves. The larger the wave becomes and the closer it gets to the shore, the greater its power and impact. This concept is also applied to our Financial world. As you pay off your smaller debts, the money that was used for that debt payoff can then be applied to the next smaller debt until that one is also eradicated. As you continue to apply the funds used for smaller debts toward the larger ones, your “DebtWave” will continue to grow until all debts are paid off (Excluding Mortgage Debt). This step is where most momentum is accomplished. When you achieve that first debt payoff, you will receive a deep sense of accomplishment and want to do everything possible to keep the DebtWave moving across all other debts. You will begin to experience the desire to make every effort to minimize your spending, lower your expenses, and live your life focused on the end goal of debt elimination. Every dollar you decide not to use toward discretionary spending (non-essential purchases) can be applied to your DebtWave. Once your debt is eliminated and the only debt expense left is your mortgage, you will feel a sense of peace that very few will ever experience.